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Startup CEOs who gave up fortunes to turn employees into millionaires

230 点作者 whyleym超过 10 年前

19 条评论

Arjuna超过 10 年前
Although Woz wasn&#x27;t a CEO... for those that don&#x27;t know about this, I thought you would find it interesting [1]:<p><i>&quot;And when Jobs (in the movie, but really a board does this) denied stock to the early garage team (some not even shown) I&#x27;m surprised that they chose not to show me giving about $10M of my own stock to them because it was the right thing. And $10M was a lot in that time.&quot;</i><p>[1] Woz&#x27;s entire post is on this page:<p><a href="https://plus.google.com/+CarmsPerez/posts/GnVTvQNgvpf" rel="nofollow">https:&#x2F;&#x2F;plus.google.com&#x2F;+CarmsPerez&#x2F;posts&#x2F;GnVTvQNgvpf</a>
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wuliwong超过 10 年前
When I joined a startup a couple years ago as a very early employee. The equity they offered was some tiny percentage, like 0.1%. I did the math and said, &quot;you know, we would need to exit for a billion dollars for me to receive a million?&quot; The founder seemed surprised at that. Nevertheless, I joined the startup.<p>What I don&#x27;t understand is if the company does sell, and I only get my 0.1%, I should be upset or call the founder &quot;greedy&quot; if he doesn&#x27;t give me more money than what was in my contract?<p>If I&#x27;m going to take less than what I believe to be the &quot;market rate&quot; for my services in lieu of some equity and my motivation is to make money, then I&#x27;m going to do the math and weigh the probabilities of my equity and the lower-than-market salary being more lucrative than taking a job with no equity and a market rate salary.<p>I just don&#x27;t see how founders who honor contracts that employees sign as being greedy. Arguments that the founders take more risk or work harder or whatever seems to me to be beside the point. If the employee doesn&#x27;t think the percentage of equity is good, then they shouldn&#x27;t sign the contract. That&#x27;s how I see it. And maybe if more of us took that stance we wouldn&#x27;t have to hope that founders would just give us money out of the goodness of their hearts and instead have satisfactory agreements already in writing.
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apalmer超过 10 年前
I dont think startup CEOs have any requirement to do this type of thing. On the other hand I think there is a powerful reality distortion field around start ups. Its literally more work than at bigco, for about 70% of the salary, for a lotto ticket that has a 1 in 1000 chance of pay off, and the jackpot payoff is something like 50K-100K.<p>Really Really doesnt make sense unless you enjoy the atmosphere you are not going to get rich as an employee in a start up, even if the start up sells for 500 million. you are going to get back the 30% a year you lost by not going to bigco unless the founders just feel like making everyone rich.
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discardorama超过 10 年前
Beyond a certain amount of money (I&#x27;ll throw out a number and say, $10M), the incremental gain is not much. The change in your lifestyle in going from $0M to $5M is huge; but from $10M to $15M? Not much. So these CEOs are doing the <i>smart</i> thing (in addition to the <i>nice</i> thing). They know that when they get the inevitable itch to do the next startup, they can count on a stellar reputation and recruit some great talent.
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dsirijus超过 10 年前
Ask HN:<p>So, I&#x27;m the sole founder here with investor. The dude&#x27;s awesome, but the contract we signed puts me in significant financial risk if the company doesn&#x27;t turn up profitable.<p>I have more than several employees (some of them will probably read this) who I pay regular and competitive money though I&#x27;m not particulary pleased with their output (but hey, it&#x27;s improving, and there&#x27;s not much of a talent pool here). Most work on their hourlies, and if milestones&#x2F;deadlines are not met, I try to find somebody else and handle all the consequences of that myself. Basically, I handle entire risk and stress.<p>Now, if what we work on turns profitable, or has a successful exit or whatnot, you know how much of that money do I think it&#x27;s fair to give to them?<p>Nada. Zilch. Zero. Go through the shit I&#x27;m going through yourself if you want a big payout and then we&#x27;ll talk.<p>What do you think?
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erobbins超过 10 年前
It&#x27;s sad that this behavior is unusual enough to be noteworthy.
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clamprecht超过 10 年前
The article says:<p>&gt; There’s a startup in New York everyone talks about, and the things they say aren&#x27;t very nice. The startup sold for ~ $80 million and the founders got rich. But, as the rumors go, no other employee made more than $50,000.<p>Does anyone know which startup they are referring to? carrentals.com? something else?
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kjs3超过 10 年前
They gave up <i>some</i> money to reward valuable employees. That&#x27;s not, <i>per se</i>, being magnanimous or generous, it&#x27;s being smart businessmen. All of these founders made out just fine, financially. When they start their next big thing, they&#x27;ll be remembered not only as the guys who had a successful exit, they&#x27;ll be remembered as the guys took care of their people along the way. That&#x27;s about the smartest way to recruit top talent you can come up with.
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gkmoyn超过 10 年前
It&#x27;d be great if instead of founders generously giving to employees post-facto, startup contracts were more employee-friendly from the beginning. How much % should engineers 1-10 demand? <i>One percent</i> is typical for eng #1. On day one, with no code written, where the founders depend entirely on the engineers, where it&#x27;s just an idea and investor money, they&#x27;re only a hundredth of the value of the company.
abat超过 10 年前
Do employee stock options usually not vest automatically upon acquisition? The SinglePlatform story made it sound like employees get screwed if there&#x27;s an early exit before their options had fully vested.
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peter303超过 10 年前
Steve Wozniak for one. Steve Jobs wouldnt share his Apple stock with anyone. He repeated this with Pixar.<p>In the 1980s a decent IPO would be about $100K for workers. It would go towards a home down payment.
lazyjones超过 10 年前
Misleading title IMO. None of these CEOs gave up their fortunes, they just shared a (small) part with their employees.
yeukhon超过 10 年前
I think (still looking for opportunity in a startup) if I had to choose, I choose a startup based on<p>(1) the missions<p>(2) the investors<p>(3) founder(s) history and attitudes<p>equity is always a nice thing honestly there are startups that will never go IPO and there are the ones that will fail in a year or two, and there are ones that will go on for a very long time and held privately by founders and there are ones that will be acquired within a few years. The chances are, before your company is sold, you might be looking for another job already.<p>Also, read the equity&#x2F;stock agreement CAREFULLY before you sign one and understand what you are signing up for.
todd8超过 10 年前
Tivoli Systems, where I worked, went public in 1996. Not long after that it was acquired by IBM (which bought control of the company through a tender offer for the shares). 26 or 27 of the original employees of the company made over one million dollars. Even the administrative assistant, hired in the early years, was able to pay off her house.
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god_bless_texas超过 10 年前
I feel stupid. What is &quot;signaling&quot;?
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wellboy超过 10 年前
Awesome, this is how it´s done. Finally some real founders start to be out there!
alexweberk超过 10 年前
It comes down to trust, really. What goes around comes around.
EGreg超过 10 年前
Someone should mention Steve Wozniak here
vishalzone2002超过 10 年前
are there any such pre-exit companies out there?